BitPay Raises $2 Million led by Founders Fund

May 16, 2013 09:00 AM Eastern Daylight Time

ATLANTA--(BUSINESS WIRE)--BitPay
Inc., the world’s leading payment processor for bitcoin, announces it
has raised an additional $2M in seed round financing led by Founders
Fund, which includes three founders of PayPal.

"ECommerce companies see the tremendous value that frictionless
international payments bring to their businesses as they expand into
emerging markets. BitPay's ambitions have been global from the outset,
and at Founders Fund we have been impressed with the company's
tremendous growth as they sign up hundreds of new customers a day,
turning the potential for opportunity into a reality," said Brian
Singerman a Partner at Founders Fund.

Also joining this round is Max Keiser’s fund Heisenberg Capital, a
London-based fund focused on bitcoin companies. The terms of the seed
round were not disclosed, although 100% of the existing seed
shareholders exercised their pro rata rights to maintain their ownership
percentage in BitPay.

“We were not looking to raise any capital until later this year, but we
could not ignore the opportunity to have Founders Fund involved with
BitPay,” says Tony Gallippi, co-founder and CEO of BitPay. “There’s no
single investment firm we would rather have on our team right now than
Founders Fund.”

BitPay added over 1,900 new merchants during the month of April, and
they continue to dominate the bitcoin payments space by signing up over
100 new merchants per day. Through BitPay’s service, around $5 million
per month worth of bitcoins are spent on goods and services with
merchants around the world. Businesses selling electronics, precious
metals, and other low-margin products over the internet are seeing a
large increase in profitability by accepting bitcoin payments.

BitPay continues to hire Software Engineers for its Atlanta-based
headquarters, with two positions open now for experienced node.js
developers who are excited about bitcoin, as well as a Senior UX
Designer. The company continues to add resources to product development
and engineering of its world-leading bitcoin payment platform.

About BitPay

BitPay is a Payment Service Provider (PSP) specializing in eCommerce,
B2B, and enterprise solutions for virtual currencies. Visit https://bitpay.com.